Steve Jobs wanted Apple to build own cell network for first iPhone
In a speech on Monday at the Law Seminars International event in Seattle, wireless industry pioneer John Stanton said Jobs looked to create a proprietary wireless network for Apple's upcoming iPhone rather than work with existing carriers, reports Macworld.
Stanton, who is now chairman of venture capital firm Trilogy Partners, said he met with the former Apple chief between 2005 and 2007 to discuss the creation of a new network built on the unlicensed WiFi spectrum. The move would give Apple the ability to manufacture a mobile handset as well as be in control of the service that supported the device.
"[Jobs] wanted to replace carriers," Stanton said. "He and I spent a lot of time talking about whether synthetically you could create a carrier using Wi-Fi spectrum. That was part of his vision."
Jobs ultimately dropped the idea in 2007, however he still managed to have a huge impact on wireless operators who wanted to carry Apple's popular device. Most recently Sprint made a nearly $20 billion four-year deal with Apple to become an authorized iPhone carrier.
"If I were a carrier, I'd be concerned about the dramatic shift in power that occurred," Stanton said.
He went on to explain that Apple sells software and services through outlets like the App Store and iTunes that might have otherwise gone to the operators. iOS apps download numbers continue to grow, recently reaching the 15 billion download mark, and look to be a significant source of revenue for the company in the coming year.
Stanton advises current wireless carriers to take chances with new phones and services rather than relying on established products. When he was head of Voicestream, the operator that later became T-Mobile, Stanton invested in Sidekick inventor Danger and Research in Motion.
"We had investments in those spaces because in part we were the little guy and we wanted access to unique devices," he said.
The issue of being carrier independent isn't completely unheard of as AppleInsider previously reported on Apple's granted patent filings in February that could allow future iPhones to select preferred wireless carriers by creating a mobile virtual network operator (MVNO) system. If ever instituted, the system would call for carriers against each other over wireless services provided to iPhone users. The original patent filing dates back to April, 2008.
38 Comments
1) I really wish the carriers were more open to profit sharing. I think that would have made it better for them in the long run by allowing them to no fork over huge lump payments up front as we are seeing with Sprint, and give even more reason for Apple to update older iPhones.2) I'm surprised this gem from Robert X. Cringely wasn't mentioned in the article. Even if Jobs knew nothing of the article it is basically a lot of what Josb was envisioning with a WiFi-everywhere infrastructure that would disrupt mobile network operators.
And if they had made their own phone network, well then they probably wouldn't sold as many iPhones.
I <3 GSM
It sounds like Steve Jobs to want to completely own responsibility for the user experience. The carriers' interests have sometimes conflicted with Jobs' vision. To think that Apple would have gone into competition with them. Plus, if they had done it, there would have been even less distinction between the iPhone and the iPod Touch.
It sounds like Steve Jobs to want to completely own responsibility for the user experience. The carriers' interests have sometimes conflicted with Jobs' vision. To think that Apple would have gone into competition with them. Plus, if they had done it, there would have been even less distinction between the iPhone and the iPod Touch.
If we're talking WiFi-only there would be no need for an iPod Touch. The problem is that the concept in fatally flawed. I'm glad Apple went the route they went. All cellphone users are better for t.
too bad they didn't. can't believe how much we pay for these 'sh**' networks.